Banks that had lent to Kingfisher Airlines have invoked 3.13 million pledged shares. At the beginning of the month, lenders had invoked pledge shares in United Spirits worth Rs 500 crore, post to which, the holdings of United Breweries in United Spirits (USL) came down by 2.646 million shares.
This move came after Bombay High Court refused to stop lenders to Kingfisher Airlines from selling the pledged shares for recovering their dues. Vijay Mallya-promoted UBI Holdings had pledged its stake in United Spirits (USL) and Mangalore Chemicals with the lenders as security against loans to the airline.
However, lenders’ this move also came after banks started selling USL shares, which were pledged with them. Banks in total have 26 million shares of USL, of which around 10 million have already been sold out.